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04.05.2012 |

Uncertain Future for EU biofuels

Land clearing for oil palm expansion, Photo: Wakx/Flickr.com
Land clearing for oil palms, Photo: Wakx/Flickr.com

The European Commission failed to reach agreement on the future of the EU biofuels policy at an orientation meeting last Wednesday. The 27 commissioners had gathered to choose one of three policy options designed to address indirect land use changes (ILUC) related to biofuels. ILUC occur if forests are cleared or peatland is dried to meet the growing demand for biofuels, which in turn leads to a net increase in carbon dioxide emissions. Studies show that indirect emissions are far lower for ethanol than for biodiesel. The aim of the Commission’s meeting was to reach consensus on how to account for this ILUC process within the EU sustainability criteria for biofuels. However internal disputes prevented concrete action. Tough regulations on ILUC could potentially endanger Europe’s 13 billion euro biofuels industry, which is why agribusiness is now attempting to flex its muscles. Discussions will continue to find a compromise before the end of the year.

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